UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☑ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Quarterly Period Ended September 30, 2023 ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Transition Period from to Commission File Number: 001-37397 Rimini Street, Inc. (Exact name of registrant as specified in its charter) Delaware 36-4880301 (State or other jurisdict ...

Financial Data and Key Metrics Changes - Billings for the second quarter were $104.4 million, an increase of 2.8% compared to $101.6 million in the prior year [1] - Revenue for the second quarter reached a record $106.4 million, a year-over-year increase of 5.2%, negatively impacted by currency movements [52][53] - Gross margin was 63% of revenue for the second quarter, slightly down from 63.1% in the prior year [1] - Net income attributable to shareholders was $4.3 million or $0.05 per diluted share, compared to $110,000 or $0.00 per diluted share for the prior year [56] - Adjusted EBITDA was $15.8 million for the second quarter, representing 14.8% of revenue, compared to 10.9% in the prior year [56] Business Line Data and Key Metrics Changes - Sales and marketing expenses as a percentage of revenue decreased to 35% from 35.8% in the prior year [2] - General and administrative expenses as a percentage of revenue, excluding litigation costs, was 17.7%, down from 18.6% in the prior year [9] - Non-GAAP operating margin improved to 14% of revenue for the second quarter, compared to 11.8% in the prior year [10] Market Data and Key Metrics Changes - Clients within the United States represented 50.7% of total revenue, while international clients contributed 49.3% [53] - Deferred revenue as of June 30, 2023, was approximately $285 million, down from $300 million in the prior year [11] - Backlog increased to $565 million as of June 30, 2023, compared to $551 million in the prior year [11] Company Strategy and Development Direction - The company is evolving from a single service provider to a global provider of end-to-end enterprise software support products and services [23] - The focus is on improving sales execution across an expanded portfolio of solutions and enhancing lead and opportunity development [25][27] - The company plans to expand its salesforce from 65 to potentially 90 sellers by the end of the year, targeting a different profile of sales representatives [60][80] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the demand for their services, emphasizing the need for organizations to consolidate IT service providers for better outcomes [55] - The company suspended full-year 2023 revenue and adjusted EBITDA guidance due to uncertainties surrounding ongoing litigation with Oracle [58][60] - Management noted that while there are challenges in certain regions, particularly EMEA and ANZ, North America is showing strong performance [8][40] Other Important Information - The company has been in litigation with Oracle for over 13 years, with ongoing proceedings affecting its operations [28][29] - The company reported a net cash position of $64.7 million at the end of the quarter [52] - The company has filed an appeal regarding the recent court rulings and is awaiting further clarity from the court [12][31] Q&A Session Summary Question: Have you evaluated any expenses necessary to comply with a more manual process for PeopleSoft if the ruling is upheld? - Management is still compiling data and has filed an emergency motion to stay the injunction due to significant problems with compliance [12] Question: Are prospective clients asking about the court ruling? - Management indicated that while there have been inquiries, the majority of business outside the injunction's impact is continuing normally [60][61] Question: Can you provide clarity on the types of customers and verticals for the big deals? - Management noted a healthy mix of deal sizes, with significant contributions from North America and Asia, while facing challenges in EMEA and ANZ [15][40]

PART I. FINANCIAL INFORMATION [Financial Statements](index=4&type=section&id=ITEM%201.%20Financial%20Statements) The unaudited condensed consolidated financial statements for the six months ended June 30, 2023, show revenue growth and a significant increase in net income compared to the prior year, with total assets decreasing slightly and cash flow from operations significantly decreasing year-over-year Condensed Consolidated Balance Sheet Data (in thousands) | Account | June 30, 2023 | December 31, 2022 | | :--- | :--- | :--- | | **Assets** | | | | Cash and cash equivalents | $123,543 | $109,008 | | Accounts receivable, net | $85,065 | $116,093 | | Total current assets | $264,994 | $281,706 | | Total assets | $370,857 | $391,041 | | **Liabilities & Stockholders' Deficit** | | | | Deferred revenue, current | $259,102 | $265,840 | | Total current liabilities | $329,228 | $353,027 | | Long-term debt, net | $67,113 | $70,003 | | Total liabilities | $432,918 | $468,211 | | Total stockholders' deficit | $(62,061) | $(77,170) | Condensed Consolidated Statements of Operations (in thousands) | Metric | Q2 2023 | Q2 2022 | Six Months 2023 | Six Months 2022 | | :--- | :--- | :--- | :--- | :--- | | Revenue | $106,421 | $101,200 | $211,933 | $199,110 | | Gross Profit | $67,073 | $63,856 | $133,242 | $124,559 | | Operating Income | $10,295 | $5,688 | $20,980 | $11,630 | | Net Income | $4,268 | $110 | $9,907 | $3,197 | Condensed Consolidated Statements of Cash Flows (in thousands) | Cash Flow Activity | Six Months Ended June 30, 2023 | Six Months Ended June 30, 2022 | | :--- | :--- | :--- | | Net cash provided by operating activities | $21,749 | $60,773 | | Net cash used in investing activities | $(1,140) | $(1,722) | | Net cash used in financing activities | $(3,348) | $(10,731) | [Notes to Unaudited Condensed Consolidated Financial Statements](index=9&type=section&id=Notes%20to%20Unaudited%20Condensed%20Consolidated%20Financial%20Statements) Key notes highlight a working capital deficit of $64.2 million, which management believes is manageable, alongside an amended credit facility, ongoing significant legal proceedings with Oracle, and an accrual for potential attorneys' fees - As of June 30, 2023, the company had a **working capital deficit of $64.2 million**, with current liabilities exceeding current assets; however, management believes current cash and future cash flows will be sufficient to meet obligations for at least the next 12 months, partly because the historical cost to fulfill the **$259.1 million** in current deferred revenue is approximately **37%**[26](index=26&type=chunk)[28](index=28&type=chunk) - On February 22, 2023, the company amended its **Credit Facility** to change the reference interest rate from **LIBOR** to the **Secured Overnight Financing Rate (SOFR)**[35](index=35&type=chunk) - The Board of Directors authorized an increase to the **stock repurchase program to up to $50.0 million** over four years, starting May 28, 2022[47](index=47&type=chunk) - In the **'Rimini II' litigation**, a District Court issued a **permanent injunction** on July 24, 2023, primarily limiting support services for Oracle's **PeopleSoft software**; revenue from PeopleSoft support was about **8% of total revenue** in Q2 2023, and the company has appealed the decision and filed a motion to stay the injunction[78](index=78&type=chunk)[79](index=79&type=chunk)[81](index=81&type=chunk) - For the **'Rimini I' injunction proceedings**, the company has **accrued $6.9 million** as of June 30, 2023, as an estimate for Oracle's reasonable attorneys' fees and costs[72](index=72&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=28&type=section&id=ITEM%202.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management reported a 5% revenue increase for Q2 2023, driven by international growth, and an 81% increase in operating income due to decreased litigation costs, while asserting sufficient liquidity despite a working capital deficit Key Business Metrics | Metric | As of/For the 12 months ended June 30, 2023 | As of/For the 12 months ended June 30, 2022 | | :--- | :--- | :--- | | Active Clients | > 3,020 | > 2,900 | | Annualized Recurring Revenue | $410 million | $397 million | | Revenue Retention Rate | 94% | 95% | Q2 2023 vs Q2 2022 Performance (in thousands) | Metric | Q2 2023 | Q2 2022 | Change ($) | Change (%) | | :--- | :--- | :--- | :--- | :--- | | Revenue | $106,421 | $101,200 | $5,221 | 5.2% | | Gross Profit | $67,073 | $63,856 | $3,217 | 5.0% | | Operating Income | $10,295 | $5,688 | $4,607 | 81.0% | | Net Income | $4,268 | $110 | $4,158 | 3,780.0% | - The **5% revenue growth** in Q2 2023 was primarily driven by an **11% increase in international revenue**, particularly from Japan and Australia[147](index=147&type=chunk) - **Litigation costs, net of recoveries, decreased significantly by 79.7%** from **$3.1 million** in Q2 2022 to **$0.6 million** in Q2 2023, which was a primary driver of the **81% increase in operating income**[146](index=146&type=chunk)[155](index=155&type=chunk) - The company has a **working capital deficit of $64.2 million**, but management believes liquidity is sufficient, partly because the historical cost to fulfill the **$259.1 million** in current deferred revenue is only about **37%** of that amount[174](index=174&type=chunk)[177](index=177&type=chunk) - **Cash flow from operating activities decreased to $21.7 million** for the first six months of 2023, down from **$60.8 million** in the same period of 2022, mainly due to unfavorable changes in accrued liabilities, deferred revenue, and accounts payable[181](index=181&type=chunk)[183](index=183&type=chunk)[185](index=185&type=chunk)[187](index=187&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=40&type=section&id=ITEM%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company is exposed to market risks primarily from foreign currency exchange rates and interest rate fluctuations, with international revenue contributing significantly to currency volatility and variable-rate debt creating interest rate risk partially mitigated by a swap agreement - The company faces **foreign currency risk** as **49% of its revenue** for Q2 2023 was from international business; a hypothetical **10% change** in foreign currency exchange rates would impact income before taxes by approximately **$1.9 million**[200](index=200&type=chunk)[201](index=201&type=chunk) - The company is exposed to **interest rate risk** through its variable-rate **Credit Facility**, which transitioned from **LIBOR** to **SOFR**; as of June 30, 2023, a **100-basis-point increase** in SOFR would result in an approximate **$0.8 million increase** in annual interest expense[204](index=204&type=chunk) - To mitigate **interest rate risk**, the company entered into an **interest rate swap agreement with a notional value of $40.0 million**[204](index=204&type=chunk) [Controls and Procedures](index=42&type=section&id=ITEM%204.%20Controls%20and%20Procedures) Management, including the CEO and CFO, concluded that the company's disclosure controls and procedures were effective as of June 30, 2023, with no material changes to internal control over financial reporting during the quarter - Based on an evaluation as of June 30, 2023, the CEO and CFO concluded that the company's disclosure controls and procedures were **effective**[207](index=207&type=chunk) - There were **no changes in internal control over financial reporting** during the quarter ended June 30, 2023, that have materially affected, or are reasonably likely to materially affect, internal controls[208](index=208&type=chunk) PART II. OTHER INFORMATION [Legal Proceedings](index=42&type=section&id=ITEM%201.%20Legal%20Proceedings) This section incorporates by reference the detailed discussion of legal proceedings from Note 8 of the financial statements, highlighting the ongoing litigation with Oracle as a central contingency - The details of the company's legal proceedings, particularly the **ongoing litigation with Oracle**, are described in **Note 8** to the Unaudited Condensed Consolidated Financial Statements and are incorporated by reference into this section[211](index=211&type=chunk) [Risk Factors](index=43&type=page&id=ITEM%201A.%20Risk%20Factors) The company identifies significant risks, primarily the ongoing litigation with Oracle, which could lead to substantial costs and injunctions, alongside intense competition, economic uncertainties, and risks related to its indebtedness - The most significant risk factor is the **continuing litigation with Oracle**; adverse outcomes could lead to substantial attorneys' fees, costs, and injunctions against business practices, which could **materially harm the business**[217](index=217&type=chunk)[220](index=220&type=chunk) - A **significant portion of revenue** is derived from support for Oracle software products that are subject to the **Rimini I and Rimini II injunctions**; for the six months ended June 30, 2023, approximately **43% of revenue** came from Oracle products under the Rimini I injunction compliance, with the **PeopleSoft product line** accounting for about **9% of total revenue**[244](index=244&type=chunk) - The company faces **significant competition** from enterprise software vendors (like **Oracle** and **SAP**) and other independent support providers, which could harm its ability to add and retain clients[256](index=256&type=chunk) - **Economic uncertainties**, including **rising inflation** and **potential recession**, could reduce IT budgets and negatively affect demand for the company's services, client renewal rates, and the ability of clients to make timely payments[252](index=252&type=chunk)[254](index=254&type=chunk) - The company's **Credit Facility** imposes **operating and financial restrictions**, and its **variable rate debt** (tied to **SOFR**) subjects it to **interest rate risk**[320](index=320&type=chunk)[321](index=321&type=chunk) [Unregistered Sales of Equity Securities and Use of Proceeds](index=67&type=section&id=ITEM%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) During Q2 2023, the company repurchased **248,170 shares** of common stock for approximately **$1.0 million** under its stock repurchase program, with approximately **$44.2 million** remaining available for future repurchases Common Stock Repurchases in Q2 2023 | Period | Total Shares Purchased | Average Price Paid Per Share | Approximate Dollar Value Remaining for Purchase | | :--- | :--- | :--- | :--- | | April 2023 | 0 | $— | $45,260,000 | | May 2023 | 213,170 | $4.06 | $44,402,000 | | June 2023 | 35,000 | $4.45 | $44,246,000 | | **Total Q2** | **248,170** | | **$44,246,000** | [Defaults Upon Senior Securities](index=68&type=section&id=ITEM%203.%20Defaults%20Upon%20Senior%20Securities) None - There were **no defaults** upon senior securities during the reporting period[347](index=347&type=chunk) [Mine Safety Disclosures](index=68&type=section&id=ITEM%204.%20Mine%20Safety%20Disclosures) Not applicable - This item is **not applicable** to the company[348](index=348&type=chunk) [Other Information](index=69&type=section&id=ITEM%205.%20Other%20Information) The company disclosed that its RSU and PSU award agreements include **mandatory "sell-to-cover" provisions** for tax withholding, which may be considered **"non-Rule 10b5-1 trading arrangements"**, affecting **six executive officers** including the CEO and CFO - The company's RSU and PSU agreements contain **mandatory "sell-to-cover" provisions** to satisfy tax withholding obligations, which may be considered **"non-Rule 10b5-1 trading arrangements"**[351](index=351&type=chunk) - **Six executive officers**, including **CEO Seth Ravin** and **CFO Michael Perica**, received RSU and PSU awards effective April 3, 2023, subject to these arrangements[352](index=352&type=chunk) [Exhibits](index=70&type=section&id=ITEM%206.%20Exhibits) This section lists the exhibits filed with the Form 10-Q, including certifications by the CEO and CFO, and XBRL data files

Financial Data and Key Metrics Changes - Revenue for Q1 2023 was a record $105.5 million, representing a year-over-year increase of 7.8% [35] - Annualized recurring revenue reached $408.3 million, a year-over-year increase of 6.1% [36] - Net income attributable to shareholders was $5.6 million, an increase of 82.7% year-over-year [47] - Adjusted EBITDA for Q1 was $16.6 million, or 15.7% of revenue, compared to $12.9 million, or 13.2% of revenue for the prior year [48] - Cash and short-term investments totaled $135 million, compared to $129 million as of December 31, 2022 [49] Business Line Data and Key Metrics Changes - The company launched its expanded solutions portfolio, including the Rimini ONE offering, which has already signed over 100 clients [11][12] - The revenue retention rate for service subscriptions was 92% for the trailing 12 months, with more than 75% of subscription revenue being non-cancelable for at least 12 months [36] Market Data and Key Metrics Changes - Clients in the United States represented 50.6% of total revenue, while international clients contributed 49.4% [35] - International revenue growth was 14%, compared to 2% growth in the U.S. [58] Company Strategy and Development Direction - The company aims to consolidate IT service providers for clients, enhancing vendor management and purchasing power [16] - The focus is on increasing sales execution in the U.S. market, which is seen as a key area for growth [58][60] - The company is positioned to help clients navigate economic pressures by reallocating IT spending towards innovation [97] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the demand for their services, noting that economic uncertainty often leads to increased interest in their offerings [65][97] - The company is focused on improving sales execution in the U.S. to capitalize on existing demand [58][60] - Management anticipates a strong third quarter, contrasting it with previous years' challenges [94] Other Important Information - The company has been in litigation with Oracle for over 12 years, with ongoing proceedings that do not currently prohibit support services for Oracle products [26][28] - The company expects to maintain a strong balance sheet while managing litigation costs, with outside litigation expenses projected to be around $10 million for the full year [46] Q&A Session Summary Question: What needs to be accomplished for U.S. growth? - Management acknowledged the need for improved sales execution in the U.S. and noted a 20% higher pipeline for Q2 compared to the previous year [57] Question: What is the expected acceleration in demand? - Management believes that demand is strong and that execution is the primary challenge, with improvements expected as they enhance their sales efforts [59][60] Question: How are sales cycles and decision-making impacted by the macro environment? - Management indicated that economic uncertainty has not negatively impacted their pipeline and that they are often sought after during challenging times [65] Question: What is the average sales price for support deals? - The average sales price for a support deal is approximately $200,000, but variability exists in new offerings like Rimini ONE [67] Question: What are the expectations for billings growth? - Management expressed dissatisfaction with the 2% growth in North America and aims for over 20% growth overall [85] Question: What is the customer count? - The company has over 3,000 aggregate clients, with more than 1,500 unique clients [74]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☑ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Quarterly Period Ended March 31, 2023 ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Transition Period from to Commission File Number: 001-37397 Rimini Street, Inc. (Exact name of registrant as specified in its charter) Delaware 36-4880301 (State or other jurisdiction ...

Rimini Street, Inc. (NASDAQ:RMNI) Q4 2022 Earnings Conference Call March 1, 2023 5:00 PM ET Company Participants Dean Pohl - Vice President of Investor Relations Seth Ravin - Chief Executive Officer Michael Perica - Chief Financial Officer Conference Call Participants Jeffrey Van Rhee - Craig-Hallum Brian Kinstlinger - Alliance Global Partners Andrew Sherman - Cowen and Company Operator Good afternoon ladies and gentlemen, and welcome to the Rimini Street Earnings Conference Call. At this time, all particip ...

☑ Annual report pursuant to section 13 or 15(d) of the Securities Exchange Act of 1934 For the Fiscal Year Ended December 31, 2022 UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K (Mark One) ☐ Transition report pursuant to section 13 or 15(d) of the Securities Exchange Act of 1934 For the Transition Period from to Commission File Number 001-37397 Rimini Street, Inc. (Exact name of registrant as specified in its charter) Delaware 36-4880301 (State or other jurisdiction of inc ...

Financial Data and Key Metrics Changes - Revenue for Q3 2022 was a record $101.9 million, representing a year-over-year increase of 6.6% [37] - Annualized recurring revenue reached $399.8 million, up 6.2% year-over-year [37] - The revenue retention rate for service subscriptions, which constitutes 98% of total revenue, was 94% [37] - Gross margin decreased to 61.5% from 65.1% year-over-year, attributed to increased labor costs and investments in service delivery [42] - Net loss attributable to shareholders was $0.4 million, compared to a loss of $6.7 million in the prior year [52] Business Line Data and Key Metrics Changes - The client base grew by 7.8% year-over-year to over 3,010 active clients [10] - Billings for Q3 were $49.7 million, a decrease of 32.5% year-over-year, impacted by challenges in new client acquisitions and reduced deal sizes [39] - Advanced support services payments beyond the first year were significantly lower year-over-year, affecting billings comparisons [40] Market Data and Key Metrics Changes - Clients in the United States represented 52% of total revenue, while international clients contributed 48% [38] - Year-over-year revenue growth in the U.S. was 5.8%, while international growth was 7.4% [38] - Total revenue growth on a constant currency basis was negatively impacted by 2.1% due to foreign exchange fluctuations [38] Company Strategy and Development Direction - The company is focused on improving global sales execution and maturing service offerings, with a strong emphasis on cross-selling strategies [12][17] - A new go-to-market roadmap was implemented for Application Managed Services (AMS) and security products, aiming for pipeline and sales growth [17] - The company aims to leverage its expanded portfolio of IT solutions to optimize client IT spending and drive growth [9][12] Management's Comments on Operating Environment and Future Outlook - Management noted that the global macroeconomic environment is causing organizations to refocus their IT investments, leading to delays in procurement decisions [11] - Despite challenges, management expressed confidence in the company's positioning to benefit from increased demand for its services [12][20] - The company anticipates fourth quarter 2022 revenue guidance in the range of $103 million to $105 million, tightening full-year guidance to $404 million to $406 million [58] Other Important Information - The company has been involved in ongoing litigation with Oracle for over 12 years, with two active proceedings currently [30] - The company completed enhancements to its service portfolio, including the launch of Rimini Protect, which adds security solutions [18] - The cash balance at the end of Q3 was $119 million, with total readily available cash of $130 million [54] Q&A Session Summary Question: Can you discuss bookings trends and sales execution? - Management indicated that sales execution improved, with successful multimillion-dollar deals, but noted that many deals were delayed rather than lost [63][64] Question: Why does the fourth quarter guidance imply deceleration in revenue growth? - Management attributed the deceleration to macroeconomic challenges affecting deal closures and visibility into future transactions [68][69] Question: What changes have been made in the Americas and when can growth be expected? - Management expects to see acceleration in North America in 2023, contingent on macroeconomic stability [82] Question: When can billings growth be expected to return? - Management indicated that changes made in sales execution would take time to reflect in billings growth, with improvements anticipated in 2023 [88][94] Question: What factors contributed to the increase in G&A expenses? - Management highlighted conscious decisions to invest in compliance and infrastructure to support growth, which contributed to the increase in G&A expenses [103][106]

PART I. FINANCIAL INFORMATION This section details the company's unaudited financial statements and management's analysis of its financial condition and operations [ITEM 1. Financial Statements](index=4&type=section&id=ITEM%201.%20Financial%20Statements) This section presents the unaudited condensed consolidated financial statements, including balance sheets, statements of operations, and cash flows, providing a detailed view of the company's financial position and performance for the periods ended September 30, 2022 [Unaudited Condensed Consolidated Balance Sheets](index=4&type=section&id=Unaudited%20Condensed%20Consolidated%20Balance%20Sheets) This section provides a snapshot of the company's assets, liabilities, and stockholders' deficit as of September 30, 2022, and December 31, 2021 **Condensed Consolidated Balance Sheet Highlights (in thousands):** | Metric | September 30, 2022 | December 31, 2021 | | :----------------------------------- | :------------------- | :------------------ | | Total Assets | $333,349 | $391,262 | | Total Liabilities | $408,724 | $471,648 | | Total Stockholders' Deficit | $(75,375) | $(80,386) | | Cash and Cash Equivalents | $118,576 | $119,571 | | Accounts Receivable, net | $59,223 | $135,447 | | Deferred Revenue, current | $212,070 | $253,221 | [Unaudited Condensed Consolidated Statements of Operations and Comprehensive Income (Loss)](index=5&type=section&id=Unaudited%20Condensed%20Consolidated%20Statements%20of%20Operations%20and%20Comprehensive%20Income%20%28Loss%29) This section outlines the company's revenues, expenses, and net income (loss) for the three and nine months ended September 30, 2022 and 2021 **Statements of Operations Highlights (in thousands, except per share amounts):** | Metric | Three Months Ended Sep 30, 2022 | Three Months Ended Sep 30, 2021 | Nine Months Ended Sep 30, 2022 | Nine Months Ended Sep 30, 2021 | | :----------------------------------- | :------------------------------ | :------------------------------ | :----------------------------- | :----------------------------- | | Revenue | $101,931 | $95,642 | $301,041 | $275,151 | | Gross Profit | $62,660 | $62,266 | $187,219 | $173,344 | | Operating Income | $2,035 | $7,527 | $13,664 | $14,026 | | Net Income (Loss) | $(405) | $1,931 | $2,792 | $5,162 | | Diluted EPS | $0.00 | $(0.08) | $0.03 | $(0.26) | - Revenue increased by **6.6%** for the three months and **9.4%** for the nine months ended September 30, 2022, compared to prior periods, while net income significantly decreased, resulting in a **net loss of $0.4 million** for the three months ended September 30, 2022[12](index=12&type=chunk) [Unaudited Condensed Consolidated Statements of Stockholders' Deficit](index=6&type=section&id=Unaudited%20Condensed%20Consolidated%20Statements%20of%20Stockholders%27%20Deficit) This section details changes in the company's equity, including total stockholders' deficit, additional paid-in capital, and accumulated deficit **Stockholders' Deficit Highlights (in thousands):** | Metric | September 30, 2022 | September 30, 2021 | | :----------------------------------- | :------------------- | :------------------- | | Total Stockholders' Deficit, end of period | $(75,375) | $(160,164) | | Additional Paid-in Capital (9 months ended Sep 30) | $154,111 | $139,505 | | Accumulated Deficit (9 months ended Sep 30) | $(222,997) | $(295,846) | - The total stockholders' deficit improved from **$(80,386) thousand** at December 31, 2021, to **$(75,375) thousand** at September 30, 2022, primarily due to an increase in additional paid-in capital and a reduction in accumulated deficit[9](index=9&type=chunk)[15](index=15&type=chunk) [Unaudited Condensed Consolidated Statements of Cash Flows](index=7&type=section&id=Unaudited%20Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) This section summarizes the cash inflows and outflows from operating, investing, and financing activities for the nine months ended September 30, 2022 and 2021 **Cash Flow Summary (Nine Months Ended September 30, in thousands):** | Activity | 2022 | 2021 | | :----------------------------------- | :--------- | :--------- | | Net cash provided by operating activities | $36,757 | $47,814 | | Net cash used in investing activities | $(14,292) | $(1,455) | | Net cash used in financing activities | $(12,412) | $(25,990) | | Cash, cash equivalents and restricted cash at end of period | $118,993 | $103,440 | - Net cash provided by operating activities decreased by **23.1%** year-over-year, while net cash used in investing activities significantly increased due to investment purchases, and net cash used in financing activities decreased, reflecting reduced payments for preferred stock redemption compared to the prior year[17](index=17&type=chunk)[203](index=203&type=chunk)[209](index=209&type=chunk)[212](index=212&type=chunk)[213](index=213&type=chunk) [Notes to Unaudited Condensed Consolidated Financial Statements](index=9&type=section&id=Notes%20to%20Unaudited%20Condensed%20Consolidated%20Financial%20Statements) This section provides additional information and explanations for the figures presented in the financial statements, covering business operations, significant accounting policies, and other relevant disclosures - Rimini Street, Inc. is a global provider of enterprise software support services, offering subscription-based solutions to replace or supplement vendor support[21](index=21&type=chunk) - As of September 30, 2022, current liabilities exceeded current assets by **$61.6 million**, with a net loss of **$0.4 million** for the three months ended September 30, 2022, while the company held **$119.0 million** in cash, cash equivalents, and restricted cash, and **$11.1 million** in short-term investments[24](index=24&type=chunk) - The company prepaid **$5.0 million** of its Credit Facility debt on May 31, 2022, and amended the facility to increase the common stock repurchase authorization to **$50 million**[34](index=34&type=chunk)[35](index=35&type=chunk) - The Board of Directors authorized an increase to the stock repurchase program from **$15.0 million to $50.0 million** over four years[52](index=52&type=chunk) - The company is involved in ongoing litigation with Oracle (Rimini I and Rimini II), where in Rimini I, the company was found liable for 'innocent infringement' and paid **$89.9 million**, and in Rimini II, Oracle withdrew all monetary damages claims, proceeding with a bench trial for equitable relief[75](index=75&type=chunk)[83](index=83&type=chunk)[84](index=84&type=chunk) Revenue by Geographic Region (in thousands) | Region | Nine Months Ended Sep 30, 2022 | Nine Months Ended Sep 30, 2021 | | :----------------------- | :----------------------------- | :----------------------------- | | United States of America | $159,616 | $147,600 | | International | $141,425 | $127,551 | | **Total** | **$301,041** | **$275,151** | [ITEM 2. Management's Discussion and Analysis of Financial Condition and Results of Operations](index=29&type=section&id=ITEM%202.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) This section provides management's perspective on the company's financial condition, results of operations, and liquidity, covering business overview, economic impacts, recent developments, and key business metrics - Rimini Street is a global provider of enterprise software management and support products and services, recognized as a leading independent software support provider for Oracle and SAP products, expanding offerings to include Rimini Protect™ security solutions, open source database support, and Application Management Services (AMS) for Oracle and SAP, as well as support for SaaS solutions like Salesforce[127](index=127&type=chunk)[128](index=128&type=chunk)[129](index=129&type=chunk)[130](index=130&type=chunk)[131](index=131&type=chunk)[132](index=132&type=chunk)[133](index=133&type=chunk) - The company's ability to operate has not been significantly adversely impacted by the COVID-19 pandemic, but rising interest rates, inflationary pressures, and geopolitical uncertainties (e.g., Russia-Ukraine conflict) are ongoing macroeconomic challenges[28](index=28&type=chunk)[144](index=144&type=chunk) - Public and Private Placement Warrants expired unexercised on October 10, 2022[147](index=147&type=chunk) - The Common Stock repurchase program was increased from **$15.0 million to $50.0 million** over four years[148](index=

Rimini Street, Inc. (NASDAQ:RMNI) Q2 2022 Earnings Conference Call August 3, 2022 5:00 PM ET Company Participants Dean Pohl - VP, IR Seth Ravin - Founder, Chairman & CEO Michael Perica - EVP, CFO & Principal Accounting Officer Conference Call Participants Andrew Sherman - Cowen and Company Brian Kinstlinger - Alliance Global Partners Jeff Van Rhee - Craig-Hallum Operator Good afternoon, ladies and gentlemen, and welcome to the Rimini Street's Earnings Conference Call. [Operator Instructions]. I will now tur ...